It came to light on this 2nd February that the Monero Gold developers likely scammed all involved out of their money. Monero Gold is an ERC20 token which should have alarmed those considering buying these tokens as Monero is a fork of Bytecoin which is an independent blockchain and not related to Ethereum or Monero Gold, even so Monero Gold managed to reach a total market cap of more than $4,000,000 making each token worth around $0.17.
What is most alarming is that the developers used a kind of exploit in the ERC20 protocol that allowed the creation of additional tokens which were then sold on several exchanges, one such exchange was CoinExchange.io who put out this statement, this means it could and probably will happen again and will surely damage the image of all ERC20 tokens.
It is not unusual for new crypto's or ICO's to ride on the coattails of an already successful cryptocurrency and there seem to be several ERC20 tokens that do this, one being NEO GOLD (NEOG) which looks dangerously like Monero Gold.
It seems that the developers are also trolling their victims as their website displays the below picture with the address of the account that created all the Monero Gold tokens (see below).
The following article explains the situation thoroughly, you can see it HERE.
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P.S. If you are interested in buying or selling Steem why not check out Binance.
